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  • Organisational design is the development of a blueprint for a Relevant and Performing Organisation (RPO).

  • The aim of these standards is to help an Orgtologist to design an organisational blueprint., or to train others to do so according to orgtology theories and principles.

  • Click on any of the IOI standards in the table below to go...


  • Organisational design is the development of a blueprint for a Relevant and Performing Organisation (RPO).

  • The aim of these standards is to help an Orgtologist to design an organisational blueprint., or to train others to do so according to orgtology theories and principles.

  • Click on any of the IOI standards in the table below to go to its specifications.


 

 

Phase:

IOI Standard:

1.            

Create a basic organisational construct.

2.            

Design operational process flow.

3.            

Integrate

4.            

Link design with people

 

Define organisational purpose as a process

Organisational Design: Phase 1: Standard 2.1

(2.1.1) Define the organisational purpose as a current reality (it is what we are doing now).

(2.1.2) Develop a narrative that will realize purpose. Ask what, why, where, when, who, and how?

(2.1.3) From the narrative, list core activities (high level).

(2.1.4) Create an operational process that gives flow to the Org purpose.

 

Create a basic construct that shows all the processes within Org

Organisational Design: Phase 1: Standard 2.2

(2.2.1) Link purpose to the orgtology Level Zero construct. Ensure that the basic systems are covered.

(2.2.2) Ensure that the (2.1.4) flow covers all the Level Zero systems.

(2.2.3) Test for clarity. Ensure that the EXCO team understands the link between purpose, processes, rules/policies, and procedures.

 

Connect Systems to Process Flow

Organisational Design: Phase 2: Standard 2.3

(2.3.1) Create rules and flow for each Level Zero system.

(2.3.2) Develop processes and levels around each Level Zero system. This is a process of linking processes in a process hierarchy.

(2.3.3) Give power and authority to each process. Ask who must do what and report to whom?

(2.3.3) Test the interdependence between processes.

 

Develop rules and targets to control process efficiency

Organisational Design: Phase 2: Standard 2.4

(2.4.1) Use process flow to define the process outputs. 

(2.4.2) Ensure that process outputs help eliminate inefficiencies.

(2.4.3) Define critical success factors for the process to run efficiently.

(2.4.4) List rules that will ensure process efficiency.

(2.4.5) Create targets that will ensure efficiency.

(2.4.6) Quantify targets and link to a monitoring process.

(2.4.7) Link targets to other targets in the process construct (cascade vertically).

 

Link rules to policy and procedures

Organisational Design: Phase 2: Standard 2.5

(2.5.1) Ensure that rules are endorsed through organisational policy.

(2.5.2) Where necessary, develop or adjust policy to accommodate rules.

(2.5.3) Ensure that policy is adequately explained through procedures.

(2.5.4) Where necessary, develop or adjust procedures to make policy clear.

(2.5.5) Link policy and procedure to a monitoring process.

 

Integrate the process construct with a project construct

Organisational Design: Phase 3: Standard 2.6

(2.6.1) Ensure that strategic projects enable greater capacity to the process construct.

(2.6.2) Ensure that strategic projects are linked to strategic programs.

(2.6.3) Ensure that operational projects are linked to operational processes and systems.

(2.6.4) Ensure that all processes and systems are linked to organisational purpose and that all strategic projects and programs are linked to organisational intent.

(2.6.5) Ensure that the relationship between operations and strategy can be explained and understood through a Sigmoid Curve.

(2.6.6) Ensure that the risk management system separates strategic from operational risks.

(2.6.7) Ensure that the process and project constructs are run as cost centers.

(2.6.8) Ensure that performance management systems are linked to the process, project, and relationship constructs.

 

Develop outcome metrics

Organisational Design: Phase 3: Standard 2.7

(2.7.1) Ensure that all strategic objectives are executed through strategic programs and projects.

(2.7.2) Cascade the execution of strategic objectives to strategic projects.

(2.7.3) Link the effect of outcomes to the efficiency of outputs.

(2.7.4) Create a scorecard for core organisational outputs and outcomes.

 

Develop the stakeholder relationship window

Organisational Design: Phase 4: Standard 2.8

(2.8.1) Define all stakeholders, and segment further as deemed necessary.

(2.8.2) Plot each stakeholder segment on a relationship window.

(2.8.3) Ensure that there are plans & processes that will optimize the relationship with each stakeholder segment.

 

Develop an organogram

Organisational Design: Phase 4: Standard 2.9

(2.9.1) Make governance decisions on the process and project constructs.

(2.9.2) Ensure that there is accountability for stakeholder, strategic, and operational interests. 

(2.9.3) Distribute work to teams.

(2.9.4) Choose an organogram type.

(2.9.5) Develop "easy to follow" authority flow.

(2.9.6) Create communication rules.

(2.9.7) Test.

(2.9.8) Adjust.

 

Create a framework that will internalize a culture of inclusion

Organisational Design: Phase 4: Standard 2.10

(2.10.1) Establish a cultural transformation team.

(2.10.2) Develop a cultural narrative for the organisation.

(2.10.3) Align the cultural narrative to the purpose, intent, and values of Org.

(2.10.4) Develop or adjust organisational symbols and rituals that aligns with the cultural narrative.

(2.10.5) Internalize a "culture of inclusion" framework that will stimulate constant growth, cohesion, and integration.

(2.10.6) Develop a project plan for the cultural transformation project.

(2.10.7) Get executive endorsement for the cultural transformation project.

  

  1.   11 May 2019
  2.   IOI Quality Standards

  • Strategy is a plan that Org creates to become or stay a Relevant and Performing Organisation (RPO).

  • Strategy development is the development of such a plan.

  • The aim of these standards is to help Orgtologists to create and develop a strategy, or to train others to do so according to orgtology theories and principles.

  • Click on...


  • Strategy is a plan that Org creates to become or stay a Relevant and Performing Organisation (RPO).

  • Strategy development is the development of such a plan.

  • The aim of these standards is to help Orgtologists to create and develop a strategy, or to train others to do so according to orgtology theories and principles.

  • Click on any of the standards in the table below to go directly to its specifications.


 

 

Phase:

IOI Standard:

IOI Standard Nr:

1.
Initiate a strategy development project.
  • Understand the strategy development needs.

  • Draft a project plan and brief for the strategy development process.

  • Draft a project inception report.

  • Draft milestone completion reports fr al completed milestones.

  • 2.1

  • 2.2

  • 2.3

  • 2.4

2.            

Org Identity and Definition.
  • 2.5

  • 2.6

  • 2.7

  • 2.8

  • 2.9

  • 2.10

3.            

Current reality analysis.
  • Do a REET analysis.

  • Analyse REET data.

  • Draft and submit a REET Report with reccommendations.

  • 2.11

  • 2.12

  • 2.13

4.
Operational Performance Analysis
  •  2.14

  • 2.15

  • 2.16

  • 2.17

5.            

Strategic Intent & Direction.
  • 2.18

  • 2.19

  • 2.20

  • 2.21

6.            

Implementation Plan.
  • 2.22

  • 2.23

  • 2.24

  • 2.25

7.            

Monitor & Lead.
  • 2.26

  • 2.27

  • 2.28

 

Define the purpose of your organisation.

Strategy Development: Phase 1: Standard 1.1

(1.1.1) The statement of purpose defines the organisations reason for existance.

(1.1.2) The statement of purpose is distinct from the statement of intent.

(1.1.3) The statement of purpose is written in present tense. E.g., “We ensure price and financial stability for the country.” Do not describe a future state, e.g., “To ensure price and financial stability for the country.”

 

Develop organisational values.

Strategy Development: Phase 1: Standard 1.2

(1.2.1) There is a narrative that describes the desired behavior of the organisation.

(1.2.2) The strategy holds a list of values that defines deisred behaviour.

(1.2.3) Each value has a description.

(1.2.4) Each value has a set of behavioural rules.

(1.2.5) Behavioural rules are part of the organisational performance asessment system.

 

Develop a business model for your organisation.

Strategy Development: Phase 1: Standard 1.3

(1.3.1) The business model has clearly identified value drivers. In orgtology the generic value drivers are process efficiency, strategic effectiveness, meaningful relationships, focused intelligence, and productive resources.

(1.3.2) The business model is linked to core critical success factors (CSF) for the organisation to perform and stay relevant. These are high level CSF’s and as rule of thumb, they must not exceed ten. The CSF’s for performance and relevance must be listed separately (E.g., five for performance and five for relevane).

(1.3.3) The business model is decribed through a business canvas. The description must include partners, key activities, key resources, value propositions, customer relationships, distribution channels, customer segments, cost structure, and revenue streams.

(1.3.4) Depict the “value flow” of your business model. This is a model, value chain, or diagram that shows the interdependence of the organisational activity. The core value drivers must be depicted.

 

Do a ROET analysis (Relationships, Opportunities, Effciency, and Threats).

Strategy Development: Phase 2: Standard 1.4

(1.4.1) Duringstrategy development there was a clear method of ROET assessment. ROET assessment methods can include (but not limied to) a workshop or meeting where dialogue is facilitated around ROET; a questionnaire to employees and other stakeholders; interviews and/or meetings with stakeholders.

(1.4.2) The ROET generated sufficient data to make reasonable assumptions about relationships, opportunities, efficiency, and threats.

(1.4.3) The ROET analysis is reduced to a concise report.

(1.4.4) The ROET report has clear recommendations regarding the strategic direction that the organisation should take.

 

Extract operational systems, core targets, and top ten risks from the process construct.

Strategy Development: Phase 2: Standard 1.5

(1.5.1) The organisational process construct is divided into core operational systems.

(1.5.2) Each operational system holds at least one core target that shows the health of that system. Each target must include a qualification, quantification, measure, evidence, and weighting. This "super target", must summarize all other targets within that system.

(1.5.3) The strategy clearly depicts the top ten operational risks.

 

Assess the strategic position of your organisation.

Strategy Development: Phase 3: Standard 1.6

(1.6.1) There is a method to assess the organisations rank/position in its industry.

(1.6.2) Org knows what rank it wants within its industry.

(1.6.3) There is a method to assess the relatioship between sponsorship (Org has the resources to do its work) and entropy (compeditors). This method should give guidance on which predominant strategic approach Org must follow:

            (1.6.2.1) Process efficiency strategy - when sponsorship is high and competition (entropy) is low.

            (1.6.2.2) Competitive strategy - when competition is high and industry processes are internalized.

            (1.6.2.3) Disruptive innovation (blue ocean) strategy - when the only option is to make your competitor irrelevant. 

 

Develop strategic intent through the 5V model.

Strategy Development: Phase 3: Standard 1.7

(1.7.1) The 5V Model is fully designed. This implies five vision statements (5V) that imply the following strategic periods:

           (1.7.1.1) V1 – ultimate dream (long-term vision)

           (1.7.1.2) V2 – Nine years from commencement of strategy (long-medium term vision)

           (1.7.1.3) V3 - Six years from commencement of strategy (medium term vision)

           (1.7.1.4) V4 - Three years from commencement of strategy (short-medium term vision)

           (1.7.1.5) V5 - One year from commencement of strategy (short term vision)

(1.7.2) The V1 statement defines the ultimate dream of Org. This is a non-quantifiable idea of the ultimate state for your organisation. It is a dream, and therefore Org can define it in any way it wants.

(1.7.3) The strategic period of Org is in line with the V4 target date.

(1.7.4) Statements V2, V3, and V4 (also nown as the 3-6-9 vision) have both quantifyable and qualifyable vision statements.

(1.7.5) The V5 statement is up to date (it changes on an annual basis).

 

Define strategic objectives.

Strategy Development: Phase 3: Standard 1.8

(1.8.1) Strategic objectives are derived from the ROET and operational analysis.

(1.8.2) Strategic objectives define the change that Org must make to close the gap between its current reality and its "3-6-9" position. It is good practice to have between two and five strategic objectives. More than that becomes hard to manage.

(1.8.3) Each strategic objective begins with a verb.

 

Create a work breakdown structure for the strategic programs.

Strategy Development: Phase 4: Standard 1.9

(1.9.1) Each strategic objective is turned into a strategic program. The objective becomes the aim of the program.

(1.9.2) Each strategic program is linked to one or more strategic projects. We execute strategic programs through project management method, which means that child projects make up the activity of a strategic program.

(1.9.3) Each strategic project has a clear work breakdown structure that includes the following items:

            (1.9.3.1) List of activities.

            (1.9.3.2) Classification code for each activity (C-Key).

            (1.9.3.3) Dependency flow (predecessors to activities).

             (1.9.3.4) Estimated duration for each activity (use the critical path or PERT method).

             (1.9.3.5) Name of the responsible person (not roles) to each activity.

             (1.9.3.6) Resource weight of each activity (cost of the activity as a percentage of the budget).

             (1.9.3.7) Target date for completion of the activity.

(1.9.4) There is a project brief and/or plan for each project.

 

Calculate the cost of strategy.

Strategy Development: Phase 4: Standard 1.10

(1.10.1) There is a cost calculation for the strategy. Jointly, the cost of all the strategic programs is the cost of strategy. The cost of strategic programs is the sum of all its strategic project cost.

(1.10.2) There is a cost calculation for operations. To relate cost of strategy to the organisational budget, we must know the cost of operations. The process construct of Org create its operational cost. Therefore, the cost of all process activity is also the operational cost of Org.

(1.10.3) There is an overall organisational cost calculation. The sum of strategic and operational cost is the total cost of running and changing Org. Therefore, strategy and operations have an inverse relationship, meaning increase of one demands a decrease from the other.

(1.10.4) Relate cost to 100 points (%). This will put expenses in perspective. It is good practice to relate cost as follows:

             (1.10.4.1) % Strategic cost to % operational cost.

             (1.10.4.2) % Strategic programs cost to overall cost of strategy.

             (1.10.4.3) % Project cost to overall program cost.

             (1.10.4.4) % Operational systems cost to overall operational cost.

             (1.10.4.5) % Process cost to operational systems cost.

 

Assess the strategic risk.

Strategy Development: Phase 4: Standard 1.11

(1.11.1) There are critical success factors (CSF's) for each project in terms of efficiency, completion, and effect.

(1.11.2) The risk register contains these CSF's.

(1.11.3) There is a method to calculate the Risk Exposure Value [risk value (probability * impact) - control value (mitigation * business continuety) = exposure].

(1.11.4) The risk register enables Org to extract it strategic risks and also to extract the risks for each strategi program.

(1.11.5) The top ten strategic risks are listed.

 

Develop the strategy document.

Strategy Development: Phase 5: Standard 1.12

(1.12.1) The strategy document has a clear statement of organisational definition and identity. This statement should include the following items (order not important):

             (1.12.1.1) A statement of purpose / mission.

             (1.12.1.2) A statement of intent / vision.

             (1.12.1.3) A statement of organisational values.

             (1.12.1.4) A organisational business model.

(1.12.2) The strategy document has a clear statement of operational efficiency. This statement should include the following items:

             (1.12.2.1) A summary of the process construct showing its core systems.

             (1.12.2.2) A list of the process construct's core targets.

             (1.12.2.3) A list the top ten operational risks.

(1.12.3) The strategy document has a clear statement of strategic effectiveness. This statement should include the following items:

             (1.12.3.1) A summary of the ROET analysis with its proposed strategic focus areas.

             (1.12.3.2) A 5V model.

             (1.12.3.3) A list of the strategic objectives, the program director, and a target date, and associated projects with their project leaders.

             (1.12.3.4)  A list of the top ten strategic risks.

(1.12.4) The document holds a section on how the organisation will monitor and execute its strategy.

(1.12.5) There is an executive summary that explains the context and process used to devise this strategy as well as why a specific strategic choice was taken. It should also have a summarized version of what the strategy entails.

 

Monitor the execution of strategy.

Strategy Development: Phase 5: Standard 1.13

(1.13.1) There is a strategic scorecard that quantifies the following:

             (1.13.1.1) A scorecard that shows how well the strategic programs are executed.

             (1.13.1.2) A scorecard that shows how well our process construct is running.

(1.13.2) There is a feedback system that will keep the CEO informed.

(1.13.3) The executive or management team has a generic agenda that gives specific time to discuss their "3-6-9" vision.

(1.13.4) Strategy teams meet regularly and they follow project management method.

(1.13.5) Program directors are senior people who can give direct feedback to the CEO.

 

 

  1.   11 May 2019
  2.   IOI Quality Standards

In organisational design we study and apply the construct of organisation.

This means that we study the processes, systems, strategies, and relationships of Org.

The aim is to apply the constructs that Org needs to thrive and survive within one integrated construct.

Please click on any of these resource items to open them...

Category: ...

In organisational design we study and apply the construct of organisation.

This means that we study the processes, systems, strategies, and relationships of Org.

The aim is to apply the constructs that Org needs to thrive and survive within one integrated construct.

Please click on any of these resource items to open them...

Category:  Articles / Essays: Author:

 Intorduction to Organisational Design

The art of organisational design.

What is an organisation?

The consciousness of an organisation – what are we creating?

Derek Hendrikz

 Understanding the Process Construct

What is a process construct?

How to engineer a process construct.

Six steps to creating process flow for a process construct.

The difference between a target, an output, and an outcome.

Creating efficiency through output targets.
Derek Hendrikz

Understanding the Project Construct

What is a project construct?

How to engineer a project construct.

Measuring effectiveness.
Derek Hendrikz

Understanding the Relationship Construct

What is a relationship construct?

Assessing the viability of relationships.
Derek Hendrikz

Practical Application

Developing an organisational organigram.

IOI quality Standards for organisational design.

The effect of culture on organisational design.
Derek Hendrikz

Student Essays on Organisational Design

   

  1.   28 July 2018
  2.   The OBoK Resource Centers

Leadership and management is where we apply the orgtology theory. It is where the equilibrium is managed.

We have divied the categories below into fundamental principles, alignment with Hypothesis 2x, and general application.

Please click on any of these resource items to open them...

Category: Articles / Essays:  Author::

Fund...

Leadership and management is where we apply the orgtology theory. It is where the equilibrium is managed.

We have divied the categories below into fundamental principles, alignment with Hypothesis 2x, and general application.

Please click on any of these resource items to open them...

Category: Articles / Essays:  Author::

Fundamentals

Inner leadership – leading the “self”.

Empowering performance and influencing relevance.

Derek Hendrikz

Leadership & management in line with Hypothesis 2x

 

Mange through “focus” and lead through “understanding”.

Manage through “containment” and lead through “innovation”.

Manage through “empowerment” and lead through “influence”.

Derek Hendrikz

General application

Team leadership.

Leading at executive level.

IOI quality standards for executive leadership and management.
Derek Hendrikz

Student essays on leadership and management from an orgtology perspective

   

  1.   26 July 2018
  2.   The OBoK Resource Centers
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